Remarks by the President at a Campaign Event -- Hyatt Regency, Baltimore, MD

Hyatt Regency
Baltimore, Maryland

3:30 P.M. EDT

THE PRESIDENT:  Hello, hello, hello!  (Applause.)  How's it going, Maryland?  (Applause.)  How's it going, Baltimore?  (Applause.)  Well, it is good to be in Baltimore -- (applause) -- home of what may end up being rivals with the White Sox -- the Orioles.  (Laughter.)  I hear you guys are -- the Orioles are having a pretty good season, I got to admit.  (Applause.)  They're doing all right.

It is wonderful to see all of you.  A couple of people I just want to acknowledge -- first of all, one of the finest governors we have in this country, Martin O'Malley is in the house.  (Applause.)  Your Lieutenant Governor, Anthony Brown is here.  (Applause.)  Two of the outstanding leaders of the United States Senate -- the senior Senator, although young at heart, Barbara Mikulski is here.  (Applause.)  And the junior Senator, but wiser than his years -- (laughter) -- Ben Cardin is here.  (Applause.)

You've got an outstanding congressional delegation -- Donna Edwards, John Sarbanes, Elijah Cummings.  (Applause.)  You've got Mayor Stephanie Rawlings-Blake in the house.  (Applause.)  And I want to give a big round of applause -- because it's not easy to do -- I want to give Anna, who spoke before the Governor, give her a big round of applause -- (applause) -- because she did an outstanding job.

Oh, it wasn’t on my card -- Dutch is here.  Give it up.  (Applause.)  Sorry, brother, didn’t see you.  He's doing a great job.  This is an outstanding congressional delegation.   

Now, I am here today not just because I need your help -- although I do.  But I’m here because the country needs your help. A lot of you got involved in our campaign in 2008, and we came together not because of me; we came together because all of us shared the feeling that we needed to reclaim the basic bargain that built this country, that created the biggest middle class that the world had ever seen. 

We came together because of a shared belief that in America, your success should not be determined by the circumstances of your birth.  If you’re willing to work hard, if you're willing to take responsibility, you should be able to own a home.  You should be able to send your kids to college.  You shouldn’t be bankrupt when you get sick.  You should be able to retire with dignity and respect.  No matter who you are, no matter where you come from, no matter what you look like, no matter who you love, no matter what your faith, here in America you should be able to make it if you try.  (Applause.)  That's why we came together. 

And back in 2008, we had a sense that Washington had strayed away from these basic values.  Think about it.  We had a record surplus that was squandered on tax cuts for people who didn’t need them and weren’t even asking for them; two wars fought on a credit card; Wall Street speculation reaping huge profits for a few while manufacturing was leaving our shores and a shrinking number of people were doing fantastically well, but more and more people had to get by with falling incomes even while the cost of everything from college to health care was skyrocketing.

We saw the slowest job growth in half a century in the decade before I took office.  And then it all culminated in a house of cards that collapsed in the most destructive financial crisis since the Great Depression.  In the last six months of 2008 -- while we were campaigning -- our friends and neighbors lost nearly 3 million jobs.  Over 800,000 more were lost the month I was sworn in. 

So even as we were in Grant Park that night celebrating as much hope and possibility as we felt on that cold day in January on the National Mall, we knew we had our work cut out for us.  And so we had to take action -- bold, swift action, and sometimes it wasn’t popular -- to prevent another depression.  And we understood that the road to recovery would not be easy.  We knew it would take time.  We knew there would be ups and downs.  We knew there would be plenty of stubborn opposition along the way. But we knew -- we also knew this:  If we were willing to act wisely and with unity, and if we were persistent and we stayed at it, if we were willing to roll up our sleeves, if we were determined not to quit, then we could come back stronger than before.  And I still believe that.

Nothing has shaken my faith in that belief.  In fact, the American people continually confirm it for me.  Because they are strong and they are resilient, I know America will come back stronger, and I know our better days are ahead of us.  (Applause.)

And I believe that because of you.  You guys give me faith. It’s been tough, but the American people are tougher.  And so while some people were saying, let’s go ahead and let Detroit go bankrupt, we said let’s make our bet on the American worker and on American businesses.  (Applause.)  And as Governor O’Malley said, GM is number one again, and we are coming back stronger than before.  (Applause.)

We had small businessowners that I had a chance to meet who would describe for me how they --

AUDIENCE MEMBERS:  We love you! 

THE PRESIDENT:  I love you, too.  I love you back.  (Laughter and applause.) 

But small businessowners who would decide, you know what, I’m not going to lay off my workers, even though it means I don’t have to take a salary this year, or because I know that families are depending on me.  We don’t quit.  We keep going.  You saw people who had been laid off from their jobs, and at the age of 50 or 55, they go back and retrain for a new job at a new industry.  Don’t quit.  With grit and resilience and innovation, we’re fighting our way back. 

And so just like we didn’t let Detroit go bankrupt, not only did we save the auto industry but we’re actually seeing better cars made, which allows our auto industry to be on top of the world once again -- (applause) -- doubling fuel-efficiency standards on cars so that you’ll get 55 miles a gallon in the next decade.  That will save the average family $8,000 during the life of a car.  So not only did we prevent liquidation, we’re actually coming back stronger than before. 

The same is true when it came to manufacturing.  Manufacturing is now hiring at a faster pace, investing in America again, consistently adding jobs for the first time since the 1990s.  (Applause.)  Businesses starting to get back to basics -- the private sector creating nearly 4.3 million new jobs in the last 27 months, over 800,000 jobs just this year alone. 

Now, does this make us satisfied?  No.  Not when we've got so many folks who are still out there looking for work.  Not when so many homes are still underwater.  Not when so many states are still laying off teachers and first responders. 

This crisis did not happen overnight; it will not be solved overnight.  The fact is job growth in this recovery has been stronger than the one following the last recession a decade ago. We've recovered more effectively than most other advanced nations.  But the hole we have to fill is deep.  The global aftershocks are great.  And that’s why we’ve got to keep pressing with actions that further strengthen this recovery.  We’ve got more work to do.  We know that. 

Now, what we also understand is the last thing we can do is return to the very policies that got us into this mess in the first place.  (Applause.)   Not now.  Not with so much at stake, Baltimore.  We have come too far to abandon the change that we fought for these past four years.  (Applause.)  We’ve got to move forward to the future we imagined where everybody is getting a fair shot, and everybody is doing their fair share, and everybody is playing by the same rules.

And that's the choice in this election.  And that's why I’m running for a second term as President of the United States of America.  We’ve got more work to do.  (Applause.)

Now, my opponent in this election, Governor Romney, is a patriotic American.  He’s raised a wonderful family.  He should be proud of the personal success he achieved as the head of a large financial firm.  But I think he’s -- he has drawn the wrong lessons from these experiences.  He seems to believe that if CEOs and wealthy investors like him are doing well, the rest of us automatically do well.

AUDIENCE MEMBER:  No way!

THE PRESIDENT:  When a woman shared the story of her financial struggles in Iowa, he gave her an answer out of an economic textbook.  He said, "Well, our productivity equals our income."  And the implication was, is that people are having trouble paying the bills because they’re not productive enough or working hard enough. 

Well, those of us who've spent time in the real world know that the problem is not the American people aren’t productive enough.  (Applause.)  You’ve been working harder than ever.  The challenge we’re facing is that for over a decade, harder work hasn’t led to higher incomes.  Bigger profits at the top haven’t led to better jobs across the board.  You can’t solve that problem if you can’t even see it.  (Laughter and applause.)
  
What a lot of current Republicans don’t seem to get is that a healthy economy doesn’t just mean you’re maximizing your own profits through massive layoffs or busting unions.  You don’t make America stronger by shipping jobs and profits overseas.  When Governor Romney or the Republicans controlling the House of Representatives propose cutting taxes for folks who don't need them while raising them on 18 million working families, that’s not a recipe for economic growth. 

And by the way, there’s nothing new about these ideas.  This is the same old stuff they have been peddling for years.  (Laughter.)  Although, as Bill Clinton pointed out the other day, this time their agenda is on steroids.  (Laughter.)   They want even bigger tax cuts for the wealthiest Americans.  They want even deeper cuts to things like education and Medicare and research and technology.  They want to give banks and insurance companies even more power to do as they please. 

AUDIENCE MEMBERS:  No!

THE PRESIDENT:  And so when I hear Governor Romney say his 25 years in the private sector gives him a special understanding of how the economy works, my question is why are you running with the same bad ideas that brought our economy to the brink of disaster?  (Applause.)

Either he believes that it will lead to a different result this time -- although there’s no evidence of that -- or he’s hoping you won’t remember just what happened the last time we tried those bad ideas.  And we’re here to say we remember, and we’re not going back there.  (Applause.)  We’re moving this country forward.

I want to be clear.  We don’t expect government to solve all our problems, and it shouldn’t try to solve all our problems.  I learned from my mother that no education policy is more important than your parents nagging you -- (laughter) -- and giving you the love and attention -- and scoldings -- you need --

AUDIENCE MEMBER:  Thanks, Mom.

THE PRESIDENT:  Thanks, Mom.  (Laughter.)  Absolutely

My first job -- or one of my first jobs out of college was working with a group of Catholic churches who taught me no poverty program can make as much of a difference in people’s lives as the kindness and commitment and engagement of a caring neighbors and caring friends.  And not every regulation is smart. Not every tax dollar is spent wisely.  And not every person can be helped who refuses to help themselves. 

But that's not an excuse to tell the vast majority of responsible, hardworking Americans -- many of whom are struggling -- you’re on your own; that unless you are lucky to have parents who can afford to lend you money, you may not be able to go to college; that even if you pay your premiums every month, the insurance company may decide to drop your coverage when you need it most and you’re out of luck.  That's not who we are.  That's not what built America. 

We built this country together.  We built railroads and highways and the Hoover Dam and the Golden Gate Bridge.  We built those things together.  We sent my grandfather’s generation to college on the GI Bill, including my grandfather.  We did that together.   We didn’t do these things -- making investments in research that ultimately led to the Internet or GPS, or all these things that created platforms for private businesses to succeed  -- we didn’t do these things for one particular individual or one particularly group.  We did it because we understood this will make us all richer.  If we’ve got great public schools and great public universities, and we’re making these investments in outstanding infrastructure, that’s good for everybody.  Everybody can succeed.  It moved us together as one nation, and as one people. 

And that’s the lesson -- the true lesson of our past.  That’s the right vision for our future.  That’s why I’m running again for President of the United States.  (Applause.)  

You know, I’m running to make sure that by the end of this decade, more of our citizens hold college degrees than any nation on Earth.  I want to help our schools hire and reward the best teachers, especially in math and science.  (Applause.)  I want to give 2 million more Americans the chance to go to community colleges and learn the skills that local businesses are looking for right now.  (Applause.)  In the 21st century, higher education cannot be a luxury; it is an economic imperative that every American should be able to afford.  And we’re going to make that happen.  That’s the choice in this election.  That’s why I’m running for President.  (Applause.)

I want to make sure the next generation of high-tech manufacturing takes root in Baltimore and Cleveland and Pittsburgh.  (Applause.)  I want to stop rewarding businesses that ship jobs overseas.  I want to start rewarding companies that are creating jobs and investing right here in Maryland, right here in the United States of America.  That’s the choice in this election.  (Applause.)

I’m running because I want us to keep moving towards a future where we control our own energy.  Our dependence on foreign oil is at its lowest point in 16 years.  (Applause.)  As I said, we doubled fuel-efficiency standards on cars, with cooperation from workers and management, which is why our cars will average nearly 55 miles per gallon.  Thousands of Americans have jobs because the production of renewable energy in this country has doubled in just three years. 

Now is not the time to cut these investments out, especially when we’re giving $4 billion away to oil companies every year.  Now is the time to end those subsidies to an industry that’s already profitable -- (applause) -- double down on clean energy that has never been more promising for our economy and our security and for the safety of our planet.  (Applause.)  That’s why I’m running for President.  That’s the choice in this election.  (Applause.)  

For the first time in nine years, there are no Americans fighting in Iraq.  (Applause.)  Bin Laden is no longer a threat to this country.  Al Qaeda is on the path to defeat.  By 2014, the war in Afghanistan will be over.  (Applause.)  So there is a foreign policy dimension to this election. 

America is safer and more respected because of the courage and the selflessness of the United States Armed Forces.  And as long as I’m Commander-in-Chief, with the help of this outstanding congressional delegation, this country will care for our veterans and serve our veterans as well as they’ve served us.  (Applause.) Nobody who fights for this country should have to fight for a job or a roof over their heads when they come home.  There's just a difference between me and the other guy on this issue. 

My opponent says it was "tragic" to end the war in Iraq.  He won’t set a timeline to end the war in Afghanistan.  I have set that timeline.  I intend to keep it, because after a decade of war that’s cost us thousands of lives and over a trillion dollars, the nation we need to build is our own.  (Applause.)  So I want to use half of what we’re no longer spending on war to pay down our deficit.  I want to invest the rest in education and research.  I want us to repair our bridges and our roads, our runways, our wireless networks.  And that’s the choice in this election. 

I want to pay down our debt in a way that is balanced and responsible.  I love listening to these guys give us lectures about debt and deficits.  (Laughter.)  I inherited a trillion-dollar deficit.  (Laughter.)  We had a surplus; they turned it into a deficit -- built in a structural deficit that extends for decades.

Q    And then they blamed you!  (Laughter.) 

THE PRESIDENT:  Isn't that something?  (Applause.) 

So we inherited a trillion-dollar deficit.  We signed $2 trillion of spending cuts into law.  I laid out a detailed plan for a total of $4 trillion in deficit reduction.  My opponent won’t admit it, but even when you account for the steps we took to prevent a depression and jumpstart the economy -- so you include the Recovery Act, all the stuff we did to help states like Maryland make sure that they didn’t have to lay folks off, and put people back to work -- even if you take that into account, spending under my administration has grown more slowly than under any President in 60 years.  (Applause.) 

So this notion that somehow we caused the deficits is just wrong.  (Laughter.)  It's just not true.  And anybody who looks at the math will tell you it's not true.  And if they start trying to give you a bunch of facts and figures suggesting that it's true, what they're not telling you is, is that they baked all this stuff into the cake with those tax cuts and a prescription drug plan that they didn’t pay for, and the war.  So all this stuff is baked in -- with all the interest payments for it. 

It's like somebody goes to a restaurant, orders a big steak dinner, martini all that stuff, and then just as you're sitting down -- they leave -- (laughter) -- and accuse you of running up the tab.  (Applause.)  That’s what they do.  I am not making this up.  (Laughter.)  I mean, press, go back, check, take a look at the numbers. 

So we’ve made tough cuts and we’ve proposed additional work that we can do -- streamlining government, cutting more waste, reforming our tax code so it’s simpler and fair, but also so that it asks the wealthiest Americans -- folks like me -- to pay a little bit more. 

Now, in contrast, my opponent, he’s proposed a new $5 trillion tax cut on top of the Bush tax cuts.  This includes a 25 percent tax cut for nearly every millionaire in the country.  Now, he won’t detail how he’s going to pay for this, but the bill for this tax cut will either be passed on to our children, or it’s going to be paid for by you -- a whole lot of ordinary Americans.  And I refuse to let that happen again.  (Applause.) 

I refuse to pay for another millionaire’s tax cut by eliminating medical research on projects that could help cure cancer or Alzheimer’s.  I refuse to pay for another tax cut by kicking kids off of Head Start programs -- (applause) -- or asking students to pay more for college, or eliminating health insurance for millions of poor and elderly and disabled Americans who rely on Medicaid. 

I’m not going to allow Medicare to be turned into a voucher that would end the program as we know it.  We’re going to reform Medicare not by shifting costs to seniors, but by reducing the spending that isn’t making people healthier.  There are ways to do this that don’t but the burden on seniors.  That’s what’s at stake, Baltimore. 

And on issue after issue, we cannot afford the next four years going backward.  We need forward, not backwards.  (Applause.)  We need better, not worse.  (Applause.)  America doesn’t need to refight the battles we just had over Wall Street reform and health care reform. 

Let me tell you something. Allowing 2.5 million young people to stay on their parent's health insurance plan, that was the right thing to do.  (Applause.)  Cutting prescription drug costs for seniors -- right thing to do.  We’re not going to go back to the days when insurance companies could cancel your policy, or deny you coverage, or charge women differently than men.  We’re not going back there.   

We don’t need another political fight about ending a woman’s right to choose, or getting rid of Planned Parenthood -- (applause) -- taking away access to affordable birth control.  I want women to control their own health choices, just like I want my daughters to have the same opportunities as your sons.  (Applause.)  

Working with Barbara Mikulski and others, we want to -- I want to sign the Paycheck Fairness Act into law so women can fight for fair pay.  We’re not turning back the clock.  We want to go forward.  (Applause.)

We need to put an end to elections where multimillion-dollar donations speak louder than the voices of ordinary citizens.  (Applause.)

We’re not going back to the days when you could be kicked out of the United States military just because of who you are and who you love.  (Applause.)  We’re moving forward to a country where we treat everybody fairly and everybody equally, with dignity and respect.  And here in Maryland, thanks to the leadership of committed citizens and Governor O’Malley, you have a chance to reaffirm that principle in the voting booth in November.  It’s the right thing to do.  (Applause.)

It’s time to stop denying citizenship to responsible young people just because they’re children of undocumented immigrants. (Applause.)  You know, this country is at its best when we harness the God-given talents of every individual, when we hear every voice, when we come together as one American family and we’re all striving for the same American Sream.  That’s what we’re fighting for.  That’s why I’m running for President.  And that’s why I need your help.  (Applause.) 

Maryland, this election is going to be even closer than the last one.  We’re going to have to contend with even more negative ads, more cynicism, more foolishness than we saw in the last campaign.  But the outcome of this election, ultimately, it’s up to you.  That’s one thing we learned in 2008.  There’s nothing more powerful than millions of voices calling for change.  When you knock on enough doors, and pick up a phone and talk to enough neighbors and friends, when you decide it’s time for change to happen, guess what -- change happens.  Change comes to America.  (Applause.)   

And that’s the spirit we need again.  So if people ask you, what’s this campaign about, you tell them it’s still about hope. You tell them it’s still about change.  You tell them it’s still about ordinary people who believe that in the face of great odds, we can make a difference in the life of this country. 

I still believe that.  I believe this country is not as divided as our politics suggest.  We’ve got more in common than the pundits tell us.  I believe we’re not Democrats or Republicans first -- we’re Americans first.  (Applause.)  Most of all, I still believe in you.  And I want you to keep believing in me.  (Applause.) 

AUDIENCE:  Yes, we do!  Yes, we do!  Four more years!  Four more years!

THE PRESIDENT:  I told you in 2008 I wasn’t a perfect man.  Michelle told you, too.  (Laughter.)  And I told you I’d never be a perfect President.  But I promised you I would always tell you what I thought, and I’d always tell you where I stood.  And most of all, I told you I’d wake up every single day fighting as hard as I knew how on your behalf to make your life a little bit better.  And I have kept that promise.  And I will keep it as long as I have the honor of serving as your President. 

So if you’re willing to stick with me and fight with me, and press on, if you’re willing to work even harder than we did in 2008, I guarantee you we will move this country forward.  We will finish what we started.  And we’ll remind the world just why it is the United States of America is the greatest nation on Earth.
 
God bless you.  God bless America.  Thank you.  (Applause.)

END 
3:59 P.M. EDT

Remarks by the President at a Campaign Event - Private Residence, Owings Mills, MD

Private Residence
Owings Mills, Maryland

1:23 P.M. EDT

THE PRESIDENT:  Thank you, everybody.  (Applause.)  Everybody, please have a seat.  Well, it is wonderful to be with all of you.  Let me begin by thanking our hosts, Josh and Genine. Thank you so much for opening up this extraordinary home -- (applause) -- and their gorgeous daughters who are doing all wonderful things.  (Applause.)  I was telling Josh, you cannot beat daughters.  No offense, sons, but -- (laughter) -- I'm just saying, when you've got wonderful daughters it puts a smile on your face.  But thank you so much for your hospitality.

You guys benefit from having one of the best governors in the country.  Please give Martin O'Malley a big round of applause.  (Applause.)  Absolutely.  An outstanding Lieutenant Governor, classmate of mine at Harvard, although he was a little younger than me -- Anthony Brown.  (Applause.)  Two wonderful allies, great friends, great champions on behalf of working people not just here in Maryland, but all across the country -- Barbara Mikulski is here, the senior Senator -- (applause) -- and Ben Cardin in the house.  (Applause.)  We've got the wonderful Congressman -- I loved his dad.  He's doing just a great job following in his footsteps -- John Sarbanes is here.  (Applause.) And the outstanding Mayor of Baltimore, Stephanie Rawlings-Blake is in the house.  (Applause.)

And of course, all of you are here, and we're very pleased with that.  I'm going to be very brief, because usually what I want to do in a setting like this is to take questions and provide comments or get advice. 

But let me just say briefly, building on what Martin said, we've gone through the toughest economy and the toughest financial crisis in our lifetimes.  What we've seen not just here in the United States but worldwide is something that we haven't seen since the '30s.  And we've still got a long way to go.  There are a lot of folks out there who are hurting; a lot of folks who are looking for work or are underemployed; a lot of folks whose homes are underwater -- and we've been reading over the last several days about because of the plunge in housing prices, the loss of that wealth that a lot of families are experiencing -- it’s put enormous strains on people all across the country, including here in Maryland.

But what we have been able to do over the last three and a half years, after a decade in which we had been moving in the wrong direction, is to begin to point towards a trajectory where here in this country everybody is getting a fair shot, everybody is doing their fair share, everybody is playing by the same set of rules -- trying to restore those core values here in America where if you work hard, you can make it; regardless of where you come from, what you look like, you have a chance if you act responsibly and you’re willing to put in some sweat equity to make it here in America. 

That’s what the rescue of the auto industry was all about -- recognizing that if you place a bet on American workers and American ingenuity, and people start cooperating, that we could once again be number one.  And we’re seeing GM now the number-one automaker in the work and the U.S. auto industry not only back on its feet, but producing cars that people want to buy all around the world.

It’s what we’re seeing in clean energy, where we’ve now doubled clean energy production since I came into office.  The progress that we’ve been able to make with respect to making sure that businesses have markets all around the world so that we’re not just known as a country that buys things, but we’re also a country that’s selling stuff.  And we’re well on track to double our exports since I came into office -- because I want once again for products made in the United States to be known around the world as the best products that are available.

So we’ve been able to right the ship a little bit.  We’re moving in the right direction, but this election in many ways is going to be more consequential than 2008, because for all the changes that we’ve been able to achieve -- equal pay for equal work legislation, reversing "don’t ask, don’t tell," health care legislation that gives 2.5 million young people the ability to stay on their parent’s health care plans and gives 30 million people the opportunity to get affordable insurance for the first time, Wall Street reforms that are able to make sure that we don't go through another taxpayer bailout of our banking system like we did that last time -- despite all that work, we’re going to need another term to make sure that we consolidate these gains and we lock in the kind of progress that we need to ensure that America’s middle class is growing again. 

And the reason this election is so important is because you’ll never see a sharper contrast between the two parties in the vision that they have for where this country needs to go.

You’ve got a party that at this point its only recipe for success is another $5 trillion worth of tax cuts on top of the Bush tax cuts that -- by every independent analyst who's looked at it -- would actually make a our debt and our deficits much worse, or alternatively, would lead to us slashing the kinds of investments that are required for us to grow over the long term  -- investments in basic science, and research and development, that have been made us an economic superpower; investments in education because we know that in the 21st century those countries that have the best-trained workers are going to be the most successful; investments we make in our basic infrastructure -- our roads, our bridges, broadband lines, wireless networks; investments we make in ensuring that people who’ve worked all their lives can retire with dignity and respect, things like Medicare and Social Security.

And so there’s going to be a very stark choice in terms of how we deal with our debt and our deficits, how we grow an economy, how we invest in our people to make sure that the next generations succeeds.

And the good news is, is that the American people generally agree with our vision.  I mean, if you just put in front of them issue after issue and you present the Democratic approach and the Republican approach, we win.  The challenge is because folks are still hurting right now, the other side feels that it’s enough for them to just sit back and say things aren’t as good as they should be, and it’s Obama’s fault.  I mean, you can pretty much put their campaign on a tweet and have some characters to spare. (Laughter.)

And that's why your involvement, your contributions, your investment in this election, your willingness to talk to your friends and your neighbors and your coworkers, and to help mobilize the same kind of energy on the ground that we had last time is going to be so important.  And it’s going to be important not just for this presidential election but it’s going to be important to make sure that we retain control of the Senate.  It’s going to be important for us to be able to take the House.  (Applause.)

But the one last thought I want to leave you with is a sense of optimism about how solvable our problems are.  It’s become fashionable to talk about how America can't recover from these kinds of challenges.  You know what, that's what they’ve said throughout our history.  They’ve always underestimated the resilience and the strength of the American people.  And we’ve been through tougher times before. 

And I, as you might imagine, spend a lot of time traveling all around the world -- there’s not a country that wouldn’t trade places with us.  (Applause.)  If you look at as tough as things have been, the pace at which we’ve grown, the accessibility of solutions to our fiscal problems relative to what’s happening in Europe, for example -- what’s required is not out of reach. 

It will require some tough choices.  Most of all, it requires those on Capitol Hill to work across party lines to achieve some basic solutions.  But we are poised to make sure that the 21st century is the American Century, just like the 20th century was.  It’s going to require some work, though, and this election is going to help determine it.

So I hope you guys are ready to go.  I hope you are still fired up.  I am just as determined as I’ve ever been, and I’m looking forward to this campaign.  (Applause.) 

So thank you.   Thank you.  Thank you so much.

END  
1:37 P.M. EDT

President Obama Nominates Two to Serve on the US District Court

WASHINGTON, DC – Today, President Obama nominated Judge Jon S. Tigar and William H. Orrick, III to serve on the United States District Court.

“I am honored to put forward these highly qualified candidates for the federal bench,” President Obama said.  “They will be distinguished public servants and valuable additions to the United States District Court.”

Judge Jon S. Tigar: Nominee for the United States District Court for the Northern District of California
Judge Jon S. Tigar has been a judge on the Alameda County Superior Court since 2002.  Prior to taking the bench, Judge Tigar practiced complex commercial litigation at Keker & Van Nest LLP for eight years.  He served as a public defender in San Francisco from 1993 to 1994 and was a litigation associate at Morrison & Foerster LLP from 1990 through 1992.  He began his legal career by serving as a law clerk for the Honorable Robert S. Vance of the United States Court of Appeals for the Eleventh Circuit.  Judge Tigar received his J.D. in 1989 from Boalt Hall School of Law at the University of California at Berkeley and his B.A. in 1984 from Williams College.

William H. Orrick, III: Nominee for the United States District Court for the Northern District of California
William H. Orrick, III currently serves as a Deputy Assistant Attorney General in the Civil Division of the United States Department of Justice in Washington, D.C., a position he has held since June 2010.  From June 2009 to June 2010, he served as counselor to the Assistant Attorney General for the Civil Division.  Prior to joining the Department of Justice, Orrick worked at the San Francisco law firm of Coblentz, Patch, Duffy & Bass LLP for 25 years.  Orrick joined Coblentz as an associate in 1984 and became a partner in 1988.  He began his legal career as an attorney at the Georgia Legal Services Program from 1979 to 1984.  Orrick received his J.D. cum laude in 1979 from the Boston College Law School and his B.A. cum laude in 1976 from Yale University.

Background Conference Call on Today's Presidential Determination Regarding the Availability of non-Iranian Oil in the Market

Via Conference Call

3:05 P.M. EDT

SENIOR ADMINISTRATION OFFICIAL:  Thank you very much.  And thanks everybody for joining today's background call on the presidential determination regarding the availability of non-Iranian oil in the market, along with the announcement by Secretary Clinton this afternoon on the exceptions granted to seven economies for significantly reducing their volume of crude oil purchases from Iran.

Again, this call will be on background.  And our speakers from here on out will be referred to as senior administration officials.  And with that, I'll turn things over to senior administration official number one.

SENIOR ADMINISTRATION OFFICIAL:  Thanks, everybody, for getting on the call here.  We just wanted to provide you with updates around the administration's efforts to implement Iran sanctions.  As you know, since the beginning of the administration, we have steadily ramped up pressure on Iran through a non-precedented set of sanctions that included the National Defense Authorization Act passed at the end of last year, which added considerable pressure by focusing on the Iranian banking and petroleum sectors in particular.

Just to give you some context for what we are announcing today, Section 1245 of the NDAA added to existing U.S. sanctions because it made sanctionable certain significant transactions between foreign financial institutions in the Central Bank of Iran.  So among other things, it provides for sanctions on private foreign financial institutions that normally conduct significant transactions other than petroleum purposes with the Central Bank after February 29th. 

And there was an exception to that for sales of food, medicine and medical devices to Iran.  But it also provided for sanctions on any foreign financial institution that normally conducts a significant transaction with the Central Bank of Iran, on or after June 28th, for the sale or purchase of petroleum or petroleum products.  So in effect, we've been phasing in these banking sanctions.  And after June 28th, they will apply to petroleum sales as well.

So in terms of the steps that we're taking today, in the first instance, the President made the determination under Section 1245 of the NDAA for the fiscal year 2012, that there is a sufficient supply of petroleum and petroleum products from countries other than Iran to permit a significant reduction in the volume of petroleum and petroleum products purchased from Iran by, or through, foreign financial institutions.  So this determination must be made periodically under Section 1245, and it reaffirms the last determination that the President made on this subject on March 30th.  As a result of this determination, significant transactions between foreign banks and the Central Bank of Iran for purchases of petroleum and petroleum products from Iran will be sanctionable as of June 28th.  

So, again, what we've done in a very steady and methodical way is phase in these sanctions.  We've assessed carefully the effect of taking Iranian petroleum off the market, both so that we can monitor those effects, but also so that we not have an unintended effect of providing Iran with additional revenue through higher prices of oil. 

What we've seen to date is a significant impact on the Iranian government's ability to obtain revenue through the sale of petroleum products, as well as a general impact that the broader sanctions regime that we put in place has had on the Iranian government. 

I'll turn it over to my colleague here to discuss the specific State Department effort, which has been focused on getting other countries to reduce their reliance and imports of Iranian oil.  So the fact that we are able to announce a series of exceptions for a number of economies today is demonstrative of the broad international support that we've been able to get for sanctions. 

And, again, the fact that these countries are coming with us in reducing their reliance on Iranian oil furthers the goal of our sanctions regime and I think demonstrates the international unity that is so important to pressing Iran to come in line with its international obligations with respect to its nuclear program.

So I’ll turn it over to my colleague here now to talk through those exceptions.

SENIOR ADMINISTRATION OFFICIAL:  Very good.  Thank you.  Thanks again for joining.  Today Secretary Clinton decided to utilize the authorities under Section 1245 of the National Defense Authorization Act to issue exceptions that apply for the next 180 days to India, Malaysia, the Republic of Korea, South Africa, Sri Lanka, Taiwan and Turkey.  As was just indicated, those exceptions are indicative of the fact that countries are significantly reducing their volume of purchases of crude oil from Iran -- so, in effect, helping us achieve the very purpose of our policy.

We’ve seen that impact, as was just indicated, already on Iran.  If we go on the basis of IEA’s figures, they estimated that in the year 2011, that Iran had exported approximately 2.5 million barrels a day.  Today, the IEA estimates that that has dropped to somewhere between 1.2 and 1.8 million barrels a day.  So conservatively, roughly on the order of 700,000 barrels a day. 

As we move ahead, we’re going to continue to implement these sanctions fully.  We’re going to continue to work with countries to further reduce the volume of purchases of Iranian oil.  We have seen that these exceptions, if used strategically together with the other authorities in the legislation, have been successful in achieving our purpose, which is to help reduce Iran’s ability to export and reduce its revenue. 

We have worked very aggressively to engage producers to be able to encourage their production and ensure that adequate supplies are getting onto the market.  And as was indicated earlier, we’re going to continue to monitor those markets very closely, including looking at supply factors, demand factors, inventory, spare capacity issues, to ensure that the market can accommodate continued reductions in the purchases of crude oil from Iran.

SENIOR ADMINISTRATION OFFICIAL:  Great.  With that, we’ll be happy to take your questions.

Q    Hi, guys.  Thank you for doing this call.  I have a couple questions.  The first is, there is no exception for China, obviously.  Is China still importing Iranian oil?  To what extent is it doing so, and what do the sanctions mean for China going forward?  And the other is, the countries that did get exemptions, do they also get some kind of a warning or another inducement to further limit their imports?

SENIOR ADMINISTRATION OFFICIAL:  First of all, on China, we have had discussions with China; we continue discussions with China.  It’s been a very important partner in the P5-plus-1 process.  It’s been committed to working with us to help Iran from acquiring a nuclear weapon.  It has shown that it’s committed to a dual-track approach of both engagement and pressure, including sanctions.  China itself has voted on four different occasions to impose sanctions on Iran.  We may have different perceptions of sanctions at different times, but one of the things that has been very important is that China has agreed to this dual-track process of pressure as well as persuasion. 

What we have seen is that the pressure that is increasingly applied to Iran we believe has been critical to bringing Iran to the negotiating table.  As we indicated, we are in discussions with China.  It would be premature to comment further on where those discussions might lead.  But as with China and with every other country that has been an importer of Iranian crude oil, we continue to outline what the legislation says, what the requirements are that we have to undertake, and we are I think engaged in a good-faith dialogue to be able to work toward a solution that in our view addresses the fundamental point here which we have to address, which is how do we reduce the volume of purchases of Iranian crude oil.  That’s one of the critical issues of the law that we have to keep in front of us at all times.

Q    Thank you for doing this call.  Can you give us some sense of what went into your determination for exempting India from Iran’s sanctions?

SENIOR ADMINISTRATION OFFICIAL:  The process of reaching any decision on a determination on an exception takes into account a range of data sources that’s pulled together by agencies across the United States government, including the Department of Energy, the Energy Information Administration, the Department of Treasury, the Department of State, the intelligence agencies.  We’ve reviewed commercially available data.  We review data that is made available at different points in time by importers themselves. 

The Indian government also took steps to publish data on its previous imports through a process of parliamentary questions.  These were published on the website of the lower house of parliament.  And it was based on taking into account all of these factors that we reached our decision.

Q    Yes, hi.  I wanted to ask you again about China.  Some analysts think that China may have received some clandestine cargo from Iran.  I wonder if you could comment on that possibility, and could comment on whether China has actually decreased its imports from Iran.

SENIOR ADMINISTRATION OFFICIAL:  Sure.  Let me just comment on the first part, then I’ll hand it over to my colleague here.  No, again, I think that all of these determinations we’re making are based on the criteria that my colleague referenced.  And I think we’ve been able to have a constructive dialogue with the Chinese on Iran sanctions over the course of the last three years, and have been able to work through these issues.  So the criteria is far more the range of factors in data sources that were referenced earlier rather than any additional information that you referenced.

But with that I’ll hand it over to my colleague to make any additional comments.

SENIOR ADMINISTRATION OFFICIAL:  I would pretty much leave it at that.  I think it would be premature to get into discussions of any specific reports about imports taken at any given time.  We continue in our discussions with China, and we, as I said before, we have informed our Chinese colleagues fully about the scope and urgency of the NDAA provisions.

Q    Hi.  Yes, can you tell me are these seven countries the first seven?  And did you do a review of Japan as well?

SENIOR ADMINISTRATION OFFICIAL:  These six countries and Taiwan are in addition to a decision that was previously taken in March by Secretary Clinton to provide exceptions to Japan and 10 European countries that have been importers of Iranian crude oil.

SENIOR ADMINISTRATION OFFICIAL:  I’d just add to that in reference to a question Olivier had earlier, too, that these exceptions are provided for a 180-day period.  So in terms of the need for continued action, these countries have the full knowledge that -- these countries and Taiwan have the full knowledge that we’re going to have a process of continuing to review actions taken to reduce reliance on the import of Iranian oil.

I think when you look across the broad spectrum here, what you see is a truly global coalition of countries that have united in taking action to reduce the import of Iranian oil.  You have from Europe to Asia to South Asia, a very significant number of major economies that are allowing us to heighten the pressure on the Iranian government and to sharpen the choice to the Iranian government that as their chief revenue source continues to be dried up through this international action, they can continue down the path of growing economic impact and international isolation, or they can shift course and come in line with their obligations.

So all of this is obviously in service of the goal of preventing Iran from obtaining a nuclear weapon, and we’ll continue to review this going forward and continue to dialogue with all of these different economies as we implement our sanctions.

Q    Hi.  I just wanted to get a sense -- you talked about this global coalition -- do you guys have a sense of how much now we’re talking about as a percentage of buyers to the Iranian market?  Is this 90 percent of buyers have now reduced their oil supply to a significant enough extent that you’ve given them exemptions?  Do you have sort of any figures for us on that?

SENIOR ADMINISTRATION OFFICIAL:  Again, I would go back to the IEA figures that I cited earlier.  Last year, Iran’s exports were about 2.5 million barrels a day.  Estimates this year are that their exports are between 1.2 to 1.8 million barrels a day.  Quite a significant reduction in their ability to export, which has created additional pressure on the Iranian economy; has had an impact on the currency.  We’ve seen extensive commercial reporting on that.  There have been, I think, very constructive articles that have been put out documenting some of the impacts that are being dealt internally within Iran. 

And importantly, I think it’s a key question in creating the right kinds of environment to support negotiations where we’ve indicated that what we advocate is a two-track approach:  the ability to maintain pressure and at the same time a willingness to engage Iran, to see if they’re willing to honor their international obligations.

Q    Hi, thanks for taking my call.  I’m sorry if this has been asked already, but can you guys give us an idea about how much these countries have reduced their oil imports?  I know Japan is typically referenced as, like, the standard-bearer for how much a country could be expected to reduce their imports, to receive an exemption.  Can you give us like a ballpark number for these countries?

SENIOR ADMINISTRATION OFFICIAL:  I think it’s important here to stick with that collective impact of all of the reductions.  We’ve had good-faith discussions with each individual country.  We’ve based our assessments, as I indicated earlier, on a wide range of data and analysis, including reports from the Department of Energy, the Energy Information Administration, the Department of Treasury, the Department of State, the intelligence agencies, from commercial sources as well. 

And if one looks at the collective impact that we’ve seen through the actions taken by Japan, the EU countries, the EU-10 -- in fact, it’s actually the entire European Union took actions to ban future contracts with Iran, and their imports from Iran go to zero beginning July 1st.  If you add to that the seven economies that were discussed today, this is quite a significant impact, and we think that we’ll continue to see those impacts demonstrated in the marketplace as countries continue to put into effect the commitments that they have made to continue to reduce their imports.

SENIOR ADMINISTRATION OFFICIAL:  I’d just reinforce one of those points in that, obviously, different countries have been able to take a different range of steps.  I think the most dramatic step that is set to come online here is the EU oil embargo, which is set to come online in July.

Given the fact that Iran in the past had exported nearly a third of its oil to Europe, the fact that now they’re faced with a potential full embargo of those oil exports gets at the type of dramatic impact that this has on the Iranian government and its ability to generate revenue. 

Other countries have taken a range of actions to reduce their imports as well.  But again, I think as we continue in the P5-plus-1 negotiation and as we continue to put forward a choice to the Iranian government between isolation and coming in line with their obligations, the fact of the EU taking the step that they’re taking sends a very powerful signal at the type of consequences Iran and its government is going to be faced with going forward if they don’t come in line with their obligations.

We’ve got time for a couple more questions.

Q    This statement issued by the White House again references the Strategic Petroleum Reserves.  Do you see any need at this point to rely on those?

SENIOR ADMINISTRATION OFFICIAL:  As you said, the statement referenced that, and the administration, as we have, continues to monitor global oil market developments.  And as the President has said repeatedly, the Strategic Petroleum Reserve is a tool that will remain on the table as part of this process. 

And I would also point to the fact that the G8 leaders made it clear at Camp David that they stand ready to call on the IEA to take appropriate actions to ensure that the market is fully and timely supplied, and that remains the case.  But certainly, with respect to stock releases, we don’t have any announcements or anything specific on that today.

Q    Hi.  I wanted to ask -- the Pakistanis now remain on this list of countries that are large buyers of Iranian crude oil.  Is Pakistan subject to sanctions on June 28th if they don't reduce their oil purchases from Iran?  Thank you.

SENIOR ADMINISTRATION OFFICIAL:  Can you repeat the question?  We couldn’t quite hear you.

Q    Pakistan is one of the larger buyers of Iranian crude oil.  On June 28th, will Pakistan be subject to sanctions if they do not reduce their oil supplies from Iran?

SENIOR ADMINISTRATION OFFICIAL:  The countries that may or may not be importers of Iranian crude oil may be subject to change at different times.  And I think that one of the things that is important to remember that was outlined by my colleague earlier is that the portion of the sanctions that apply to petroleum and petroleum products that come into effect on or after June 28th is for conducting significant transactions after that date.  And so it would be premature for us at this point to get into any specific discussion of individual countries that might be additionally considered for sanctions.

SENIOR ADMINISTRATION OFFICIAL:  Just the only thing I’d add to that is relative to the countries that received exceptions today and the previous announcement, Pakistan is certainly below them in terms of the amount of Iranian oil that is exported.  So these are all economies -- the economies that we’re addressing today are all far more substantial importers of Iranian oil than Pakistan.

With that, we'd be happy to -- we're going to wrap up here, but we’re happy to continue to take your queries on this going forward.  Appreciate your dialing in on a fairly technical subject matter, but one that is of absolute critical importance to our national security as we continue to pursue the goal of preventing Iran from obtaining a nuclear weapon.  And we'll look forward to speaking to all of you about these matters in the days to come.

Thanks.

END
3:30 P.M. EDT